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Strategies & Market Trends : Stock Attack -- A Complete Analysis

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To: dennis michael patterson who wrote (27377)8/10/2000 6:05:10 PM
From: PMG  Read Replies (1) of 42787
 
I do not think PPI will be strong. What about this:

- growth still intact but more is produced on stock because of huge investments in capacities

- thus we will have a tendency to deflation as supply is greater than demand

- if so, growth should slow down in 4-6 month or so

- the economy will tend to "stagflation"

- this period could be short because technical progress is very fast

If this story is right, we are in a beginning bear market for the techs which could last 6-12 month.

If this cycle lasts longer we'll have a recession, but I don't thing so and we are on very healthy levels.

PMG
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